Higher sausage demand could be red flag for economy

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Higher sausage demand could be red flag for economy
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An uptick in sausage demand can offer the latest sign of consumers tightening their belts as they continue grappling with high prices.

There’s been “modest growth” in the dinner sausage category for one producer, according to the Dallas Federal Reserve’s Texas Manufacturing Outlook Survey released Monday. This underscores the trends of shoppers opting for cheaper products and pulling back spending all together as cumulative inflation bites into purchasing power. “This category tends to grow when the economy weakens,” the respondent said, according to edited comments included in the Dallas Fed’s report.

While the rate of annualized inflation has fallen closer to levels deemed healthy by economic policymakers, the collective increase in prices compared with just a few years ago has left everyday Americans feeling sour about the state of the national economy. Additionally, it bolsters two themes emerging as hallmarks of today’s post-pandemic economy.

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